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Total Fixed Costs for Diamond Enterprises Are $700,000

Question 95

Multiple Choice

Total fixed costs for Diamond Enterprises are $700,000. Total costs, including both fixed and variable, are $920,000 if 140,000 units are produced. The fixed cost per unit at 200,000 units would be


A) $3.50/unit.
B) $6.57/unit.
C) $4.60/unit.
D) $1.10/unit.

Correct Answer:

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